PwC strikes sale deal for troubled shoe shops but Scots jobs remain at risk

Tony Barrell, Mike Jervis and Rob Hunt of PwC were appointed joint administrators of Brantano (UK) Limited on 21 January.

Following their appointment, the trio continued to trade the business whilst undertaking a sales process amongst interested parties.

PwC said that having now completed the process, with the majority of the business now having been sold to a company controlled by Alteri Investors.

PwC said the sale has preserved 1,372 jobs and 140 stores and concessions.

However, 13 of Brantano’s 20 Scottish stores have not been included in the deal, placing a question mark over 129 jobs north of the border.

The shops at risk include branches in Coatbridge, Clydebank, Ayr, Wishaw, Dumfries, Irvine, Glasgow (Partick), Glentrothes, Edinburgh (Straiton), Lanark, Linlithgow, Kilmarnock and Aberdeen.

Scottish stores included in the sale, which will see 68 employees transferring to Alteri, are: Perth (9 staff), Inverness (9), Glasgow – Pollockshaws (9), Dundee (12), Inverurie (11), Elgin (8), Linwood (10).

Brantano was one of the first sizeable retailers to fall into difficulty this year after the make-or-break Christmas trading period.

Robert Moran, deals partner at PwC, who spearheaded the sale of the branches, said: “From discussions held over the past few weeks, there was interest from a number of parties, both trade and private equity, for the Brantano business.

“Of this interest, the offer from Alteri represents the best outcome for creditors and employees.

“We are delighted that 1,339 jobs have been preserved through the transaction and thank the Brantano team for working closely and collaboratively with us throughout what has been a difficult period for the business.”

The Leicestershire-based business went into administration three weeks ago, with administrators revealing that Brantano had been “hit hard by the change in consumers’ shopping habits and the evolution of the UK retail environment”.